UPDATE: Sides trade barbs over slot machine legislative proposal

UPDATE POSTED NOON Feb. 4, 2021

FRANKFORT, Ky. (WTVQ) – A Senate committee Thursday approved a measure making Historic Horse Racing slot machines legal in the state and sent it to the full Senate.

The decision came after an hour-long discussion that included testimony from both sides on the issue, which has been described as critifal to keeping parts of the horse racing industry competitive with the burgeoning industry in other states.

The Kentucky Equine Education Project (KEEP), Kentucky’s equine economic advocate, commended the Senate Licensing and Occupations Committee for passing Senate Bill 120 today, which will keep historical horse racing in Kentucky and protect critical jobs, investment and economic development across the state.

The legislation, sponsored by Senator John Schickel and Senate President Robert Stivers, now heads to the Senate floor for a full chamber vote.

The committee heard testimony in support of the bill from Kelli Pendleton, president/CEO of the Christian County Chamber of Commerce and Tom Drury, a horse trainer and Kentucky native.

KEEP issued the following statement regarding the legislation’s passage out of committee:

“We thank the members of the Senate Licensing and Occupations Committee for voting to move Senate Bill 120 forward. This is a critical step toward ensuring historical horse racing can continue in our state, just as it has for the last ten years. Now, we urge our elected officials in the Senate to act swiftly in passing this bill and sending it to their colleagues in the House.

“SB 120 is solely about maintaining the status quo and preserving the jobs and economic development opportunities that historical horse racing has consistently provided our state. We are continuing to work alongside a broad coalition of organizations and constituents from all parts of the state who understand the importance of keeping HHR in Kentucky.”

The legislation was introduced to address the Kentucky Supreme Court’s ruling against historical horse racing and will define pari-mutuel wagering to be consistent with how the Kentucky Horse Racing Commission has regulated live racing for decades and historical horse racing for the last ten years.

The legislation also reaffirms that only pari-mutuel wagering on simulcasts of live racing can occur at simulcast facilities. In effect, this maintains the status quo that Kentucky has known for the last decade, ensuring HHR venues can continue or resume operations that are so beneficial to our signature horse industry and statewide economy.”

UPDATE POSTED 4:30 P.M. FEB. 2, 2021

LEXINGTON, Ky. (WTVQ) – The group that has been battling the state’s historic horse racing slot machines for a decade called a bill being introduced Tuesday in the Legislature and “Alice in Wonderland” approach to the issue.

The Family Foundation said the slots bill being filed is an “Alice in Wonderland” approach to a serious issue. The bill will “completely ignore the recent Kentucky Supreme Court ruling and simply define pari-mutuel wagering as something that it is not,” said Martin Cothran, spokesman for the group.

“Instead of trying to change these machines to comply with the law, this bill changes the law to comply with the machines. It’s a joke,” said Cothran.

Meanwhile, a horse group praised the measure — Senate Bill 120 — and the jobs it says it will save.

The Kentucky Equine Education Project (KEEP), Kentucky’s equine economic advocate, said the legislation will define pari-mutuel wagering to be consistent with how the Kentucky Horse Racing Commission has regulated live racing for decades and historical horse racing for the last 10 years. The legislation also reaffirms that only pari-mutuel wagering on simulcasts of live racing can occur at simulcast facilities.
In effect, this maintains the status quo that Kentucky has known for the last decade, ensuring HHR venues can continue or resume operations that are so beneficial to the horse industry and statewide economy, the group added.
“We applaud Sen. Schickel for championing Senate Bill 120, which will keep historical horse racing in Kentucky and protect critical jobs, economic investment and state revenue at a time when they are needed most. We also thank Senate President Stivers for his support as a co-sponsor of this important legislation. The Kentucky Supreme Court gave the General Assembly clear direction to preserve the status quo, and SB 120 gives us a path forward,” the group said in a statement.
“Historical horse racing is an integral part of Kentucky’s signature equine industry and our economy as a whole and has helped position Kentucky as a worldwide leader in racing. With real jobs and investment on the line, we urge the members of the Senate Licensing and Occupations Committee to promptly move this legislation forward so that the commonwealth can continue to benefit from historical horse racing, now and in the years to come,” it continued.
SB 120 is set to be heard in the Senate Licensing and Occupations Committee at 11 a.m. on Thursday, February 4.
But Cothran countered the bill does not address the recent Court decision, but rather ignores it.
“The Court set forth the criteria for what pari-mutuel wagering is. The supporters of the bill, rather than seriously addressing the Court’s definition of what parimutuel wagering is, a definition which is based on a century of law and almost universal agreement across the country, are simply telling the Court, ‘No it’s not’ and going on their merry way,” Cothran stated.

“This isn’t even a serious bill. In fact it could make Kentucky – “The Horse Capital of the World” – a laughing stock around the country among people who know this issue.”

“Think of how this approach could work on other issues. We could get rid of crime by simply redefining what crime is. And, we could solve environmental problems by changing a few words in the law. This bill legalizes what are essentially horse-themed slot machines. It’s a slots bill.”

“The only way to do this right is to amend the Constitution, but slot machine advocates don’t have the votes to do that,” said Cothran. “This bill is just an excuse not to have to amend the Constitution, which is the only legitimate way to make these machines legal.”

UPDATE POSTED 11 A.M. JAN. 28, 2021

FRANKFORT, Ky. (WTVQ) – Kentucky State Senator John Schickel, of Boone County, plans to file next week legislation he says will address the historical horse racing issues that have resulted in some tracks and parlors having to shut down following a state Supreme Court ruling.

“Next week, I will file legislation to keep historical horse racing operational in Kentucky. The bill, which I am pleased to say will be co-sponsored by Senate President Robert Stivers, will address the recent Kentucky Supreme Court decision on pari-mutuel wagering and ensure that historical horse racing facilities are able to continue operating, while employing Kentuckians, generating state tax revenue and strengthening our signature equine industry,” Schickel said in a statement.

“This effort is about preserving a system of wagering we’ve known for live racing for decades and historical horse racing for the last ten years. This is about maintaining the status quo. Our immediate action as legislators is critical to protecting current and future jobs and economic development across the Commonwealth.

“I have long supported Kentucky’s equine industry and recognize the importance of historical horse racing to its continued success. This issue is of particular importance in my district with the future of Turfway Park potentially in the balance, but if left unaddressed, the negative consequences are sure to impact the entire state. I look forward to working with my colleagues in General Assembly to address the clear legislative direction provided by the Kentucky Supreme Court,” Schickel concluded.

ORIGINAL STORY POSTED MONDAY, JAN. 25, 2021

FRANKFORT, Ky. (WTVQ) – Hundreds are without jobs Monday throughout Kentucky after race tracks and betting parlors were forced to shut down Historical Horse Racing machines that allow players to bet on races that have already happened.

Now, legislators are looking to help bring it back or at least find an alternative.

Despite the Kentucky Supreme Court unanimously voting in September, Historical Horse Racing, HHR, is unconstitutional it continued while Red Mile, Keeneland and others waited for the court to possibly re-assess.

It denied to re-assess the decision. On Monday, Red Mile closed its HHR machines.

“We’re talking about 300 jobs, 300 jobs,” Sen. Reggie Thomas, D-Lexington, said.

Red Mile said specifically 302 jobs are now in jeopardy.

Now, legislators on both sides, Sen. Thomas and Republican Rep. Killian Timoney are worried about the economic impact.

“If covid has taught us anything, is that we can’t take anything for granted and we need to protect our industries that are giving back, give back directly,” Rep. Timoney said.

He points to Kentucky’s deep roots in the horse racing industry. He says taking away one part affects it all.

So how can legislators bring it back?

They say it’s about making HHR fall under the appropriate guidelines in the state constitution.

“That’s going take legislative action. I’m prepared to do it. So are my colleagues on both sides of the aisle,” Sen. Thomas said.

But reminder, it’s a short session this year. Some like, Thomas are critical the Republican majority focused the first week of the session on gubernatorial powers instead.

“We have very limited time,” Rep. Timoney said. “We got to take care of the things that we need to do big picture wise, and then move into some of the some of the other issues that are also in a priority, but just a little bit farther down the list.”

In contrast to the Republican majority, Senator Thomas links pandemic economic relief to HHR.

“I wish we were dealing with this in the first week, it’s more of a priority to Kentuckians in terms of keeping jobs, raising revenue for the state. And, again, it is advancing our economic interest,” Sen. Thomas said.

Asked about the issue during his daily briefing Monday, Gov. Andy Beshear said he hopes lawmakers will act.

“I believe the Supreme Court was pretty clear. It just needs what I believe is a simple statutory fix and I hope the General Assembly will quickly pass it,” the governor said.

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